DA Davidson has revised its price target for Elastic (ESTC, Financial), reducing it from $115 to $75, while maintaining a Neutral rating on the stock. This adjustment is part of a comprehensive update on the firm's Software sector coverage.
The decision reflects DA Davidson's assumption of an impending economic slowdown in the United States, anticipating one or two quarters of negative GDP growth in the current year. Such economic conditions are expected to result in reduced growth projections and have already influenced stock valuations downward, according to the firm.
Moreover, DA Davidson highlights concerns over diminished consumer activity and reduced corporate investment, predicting these trends will persist at least through the next few quarters, irrespective of developments in the ongoing tariff environment.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 24 analysts, the average target price for Elastic NV (ESTC, Financial) is $132.80 with a high estimate of $160.00 and a low estimate of $93.12. The average target implies an upside of 62.69% from the current price of $81.63. More detailed estimate data can be found on the Elastic NV (ESTC) Forecast page.
Based on the consensus recommendation from 27 brokerage firms, Elastic NV's (ESTC, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Elastic NV (ESTC, Financial) in one year is $118.55, suggesting a upside of 45.24% from the current price of $81.625. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Elastic NV (ESTC) Summary page.
